ECB Selects Partners for Digital Euro Rollout
The European Central Bank (ECB) has chosen external firms to support the digital euro’s growth. This step is part of the ECB’s readiness for a possible launch.
The ECB announced on October 2 that it has selected providers for five key components of the digital currency. These include Feedzai, Capgemini Deutschland, and equebsWorldline. The selection follows a call for applications made in January last year.
The central bank is preparing for a potential launch of the digital euro. The chosen companies will offer services like fraud management, app development, and secure payment exchanges. The selection process began with an invitation to tender, seeking technology solutions for various services. The chosen firms will help with alias lookup, fraud prevention, app development, offline services, and secure payment information exchange.
These providers will assist in the digital euro’s preparation phase. The chosen companies will work on different aspects of the project. The ECB has signed framework agreements with several firms.
The ECB will only decide to issue the digital euro once the Digital Euro Regulation is adopted. The development of the components will be decided later, subject to the ECB Governing Council’s decision on the potential next phase of the project.
Despite these sentiments, reports emerged in August that the EU was looking to accelerate the process, with the Financial Times reporting that the ECB targeted launch on Ethereum and Solana. Stablecoin adoption rising amid regulatory developments like the GENIUS act in the United States means the push for rollout could accelerate. Interestingly, lawmakers in the U.S. have increasingly opposed any potential launch of a CBDC. President Donald Trump has also echoed these sentiments.Meanwhile, a report earlier in the year showed that about 30% of central banks have paused plans for CBDCs.
